Wise Investing

  What Is The Credit Suisse Crisis? Who is Credit Suisse •        Credit Suisse has a domestic Swiss bank plus Wealth management investment banking & asset management  operations the Swiss National Bank has designated it one of the Switzerland global Systemically important banks  whose failure would cause “ Significant harm to the Swiss economy & financial system   Who controls the Swiss banking system? •        Credit Suisse is one of the oldest and most influential banks around the globe. While the bank is widely acclaimed and known for its influence and robustness, it has touched an all-time low. •         Ever since the ongoing year started, Credit Suisse’s share price has seen a 60 percent decline. Meanwhile, the credit default swaps (CDS) spreads on Credit Suisse debt have jumped to a 14-year high. •        The CDS spr...

  There are rules for making money, losing money, holding on to money, and growing money. There are principles for practicing medicine or law and a framework of rules for success, the same applies to finance. There are strategies for winning at sports or in business and there are also ways to win at money. Here are a set of definitive principles governing the behavior of money. 1. Money is neutral Money is neither good nor bad, its user is what determines its value. Money just makes a person more of what they already are, greedy people become more greedy, and generous people become more generous. The love of money can lead to greed but money itself has no emotions. 2. If you hate money you will stay broke You will never have money if you think it’s bad or evil and hate it. People that think money is bad will immediately spend it as they will have the subconscious desire to get rid of what they think is bad. The love of money can lead to immoral behavior to get it but the hatred of ...

  The cement production is expected to increase by 10% to 12% and the utilization is expected around 65% in FY22 . As per ICRA, in FY22, cement production in India is expected to increase by 12% YoY, driven by rural housing demand and the government's strong focus on infrastructure development. INTRODUCTION India is the second largest producer of cement in the world. It accounts for more than 7% of the global installed capacity. India has a lot of potential for development in the infrastructure and construction sector and the cement sector is expected to largely benefit from it. Some of the recent initiatives, such as development of 98 smart cities, is expected to provide a major boost to the sector. Aided by suitable Government foreign policies, several foreign players such as Lafarge-Holcim, Heidelberg Cement, and Vicat have invested in the country in the recent past. A significant factor that aids the growth of this sector is the ready availability of raw materials for making ce...

Hello friends  Did you realize that a one-lakh rupee investment in Nifty last year would today be worth Rs 99,000? That's precise. The latest sell-off in global shares has shattered all of Nifty's year-to-date gains. Despite a minor improvement in May, retail inflation remains significantly above the Reserve Bank of India's (RBI) tolerance ceiling of 6%. A twin whammy of rising commodity prices, particularly for oil, and a record-low Rupee has only exacerbated the situation. Experts believe that the RBI would raise interest rates even higher to keep inflation under control, which would be a tremendous disadvantage. The United States is facing the same issue but on a much larger scale! The short-term US 2-year Treasury yield surpassed 3% for the first time since the Global Financial Crisis of 2007. Rising short-term rates reflect sour long-term market sentiment, implying that investors are losing faith in the US market's prospects. This is a traditional indication of a r...

  The Most Profitable Business on Earth Today! If you are thinking it’s lithium mining, then you are wrong. It’s the oil refining business that is minting a crazy amount of profits today! Let us understand! What are 3-2-1 crack spreads? The crude oil is refined into different products like gasoline, fuel oil, diesel, etc. by the refining companies. It’s these end products that we use in our daily lives. To evaluate the profitability of the refining business, analysts calculate 3-2-1 crack spreads. These are calculated as: 1) Buying 3 barrels of crude oil 2) Selling 2 barrels of gasoline 3) Selling 1 barrel of fuel oil The higher the spreads, the more profitable the refining business. What has happened to the 3-2-1 crack spreads? Lately, the 3-2-1 crack spreads have skyrocketed to all-time high levels of $55-60 even though the crude oil has been in a tight range of $100-$120. What are the reasons for the rising spread? Market participants say that multiple shutdowns o...